---
schema_version: "secwatch.filing_event.v1"
accession: "0001193125-26-128953"
form_type: "8-K"
ticker: "SOHOO"
cik: "0001301236"
company_name: "Sotherly Hotels Inc."
filed_at: "2026-03-27T23:59:59+00:00"
generated_at: "2026-05-15T08:32:50.899366+00:00"
event_type: "other_material"
sentiment: "negative"
materiality_score: 0.85
calibrated_materiality_score: 0.85
confidence: "high"
source: SEC EDGAR
---

# Sotherly Hotels to delist preferred stock from Nasdaq; preferred holders convert 3.2M shares for $58.8M cash

## Summary
- Consulting agreement with KWC Management for $650K annual fee, initial term to Feb 11, 2027.
- Voluntarily delisting Series B, C, D preferred stock from Nasdaq; last trading day ~April 17, 2026.
- Preferred holders converted 1.188M Series B, 1.202M Series C, 0.820M Series D shares; paid $22.2M, $23.0M, $13.6M respectively.
- Delisting follows Feb 12, 2026 merger closing; over 80% of preferred shares opted for cash conversion.
- Company will continue as a REIT and begin trading on OTC market; SEC reporting maintained.

## SEC filing metadata
- accession: 0001193125-26-128953
- form_type: 8-K
- ticker: SOHOO
- cik: 0001301236
- company_name: Sotherly Hotels Inc.
- filed_at: 2026-03-27T23:59:59+00:00
- event_type: other_material
- sentiment: negative
- materiality_score: 0.85
- calibrated_materiality_score: 0.85
- confidence: high
- sec_items: 1.01, 3.01, 8.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1301236/000119312526128953/0001193125-26-128953-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1301236/000119312526128953/d135012d8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001193125-26-128953
- JSON: https://secwatch.observer/filing/0001193125-26-128953.json
- Plain text: https://secwatch.observer/filing/0001193125-26-128953.txt

## Key facts
- Material Agreements
  Sotherly Hotels Inc. entered into Consulting Agreement with KWC Management, LLC valued at $650,000 (effective 2026-02-12).
  - Action: entry
  - Counterparty: KWC Management, LLC
  - Value: $650,000
  - Effective: 2026-02-12
  source text: On March 24, 2026, Sotherly Hotels, LP, a Delaware limited partnership (the “ Operating Partnership ”), entered into a consulting agreement effective February 12, 2026 (the “ Consulting Agreement ”) with KWC Management, LLC, a Delaware limited liability company and an affiliate of the Operating Partnership (“ KWC ”).
  evidence_url: https://www.sec.gov/Archives/edgar/data/1301236/000119312526128953/0001193125-26-128953-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.